Design Linked Incentive scheme being expanded with focus on 25 products: Ashwini Vaishnaw

New Delhi [India], September 2 : The Union government has expanded its Design Linked Incentive (DLI) scheme to strengthen India's presence in the global semiconductor industry, Union Minister Ashwini Vaishnaw toldat SEMICON India 2025 on Tuesday. The move focuses on 25 identified semiconductor products that must be designed, developed, and produced entirely in India.

"Basically, 25 products have been identified, and the complete design, the IP rights, and most importantly, the export and production of all the 25 chips must be from India. With this thinking, the Design Linked Incentive scheme is being expanded. There will be a focus on these 25 products," Vaishnaw said.

The minister emphasised that the plan aligns with Prime Minister Narendra Modi's guidance to establish a comprehensive semiconductor ecosystem, rather than pursuing isolated projects. "The Prime Minister has always guided us that the entire ecosystem has to be developed from top to bottom, only then is long-term growth possible and sustainable. Thus, we have heavily focused on the ecosystem around semiconductors," he added.

Explaining the importance of this expansion, Vaishnaw highlighted that semiconductors are as critical as steel in modern industries, powering everything. "The entire process of making a semiconductor is coming to India, and it is a very happy thing. This is a foundational industry. Like with steel, where it has multiple uses, semiconductors too, can be used in a multitude of products like cars, fridges, scooters, mobile phones; for everything semiconductor chips are required," he noted.

The minister further said that the sector has already started to take shape in India, with significant progress in manufacturing plants. "Now out of 10 plants, four plants have their pilot line ready, and by the end of the year, production will be initiated in all four of these plants," Vaishnaw stated.

Ashwini Vaishnaw also presented the first made-in-India 32-bit processor chip to Prime Minister Narendra Modi during the opening ceremony of SEMICON India 2025.

The presentation marked a significant milestone in the country's semiconductor journey, highlighting the government's efforts under the India Semiconductor Mission.

Speaking on the occasion, the minister highlighted the rapid progress being made in the sector. "Today, construction of five semiconductor units is going on at a rapid pace. Pilot line of one unit is completed, and we just presented the first made-in-India chip to the Honourable Prime Minister. Two more units will start production in a few months from now. The design of five more units is progressing very well. Ecosystem partners for chip manufacturing are all here," he said.

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